UK bank stress test results - PwC's UK head of banking and capital markets comments

Published at 07:59 AM on 01 December 2015

Commenting on the publication of UK bank stress test results today, Simon Hunt, UK banking and capital markets leader at PwC, said:

“Today’s stress test results confirm again the progress made by UK banks in building their capital positions. We now know that they are resilient against a severe slowdown in Asia as well as a dramatic fall in UK house prices.


"The Bank of England will not, however, allow the banks to rest on their laurels. The pass mark for next year’s stress test will be higher and the scenarios may well be more severe if the economy continues to improve. Today’s other announcement that the Bank of England plans to increase capital buffers for the UK banking system above and beyond the internationally agreed Basel 3 standards represents yet another demand on the banks’ capital resources.


"However, it isn’t only about the numbers. The Bank of England has identified a number of weaknesses in banks’ stress testing capabilities - especially in relation to net interest income and traded risk projections - which will need to be remedied as a priority if further capital add-ons are to be avoided."

Ends

Media contact:

Katherine Howbrook, PwC media relations, Tel: 020 7212 2711/07595 609 737, Email: [email protected]


Twitter
LinkedIn
Facebook
Google+

About PwC

At PwC, our purpose is to build trust in society and solve important problems. We’re a network of firms in 157 countries with more than 208,000 people who are committed to delivering quality in assurance, advisory and tax services. Find out more and tell us what matters to you by visiting us at www.pwc.com.

PwC refers to the PwC network and/or one or more of its member firms, each of which is a separate legal entity. Please see www.pwc.com/structure for further details. © 2016 PwC. All rights reserved

« Work ‘gig economy’ set to be worth £2bn in the UK by 2020 – PwC research | Homepage | PwC backs new industry cluster research at Silverstone Park »

  • Contact us
  • +44 (0) 20 7213 1768

Specific and out of hours contacts